Gold awaits consolidation above 20-day SMA

"Risk appetite waned with renewed concern over the power of monetary policy . A weaker U.S. equity market lent support to global volatility and put gold again at centre stage for investors."
- ANZ (based on CNBC)

Pair's Outlook
Following Thursday's spike in gold prices, this precious metal is now finally awaiting a consolidation above a busy cluster of resistances placed between 1,224 and 1,231. The upper band of it is the 20-day SMA , and exactly a closure above this line would considerably improve the bullion's future forecast. To support this view, the new weekly technical indicators are strongly favouring a rally over the upcoming five-day period. At the same time, another failure of the bulls, if happens, is unlikely to become long lasting, as XAU/USD will then encounter a demand line in face of the 55-day SMA at 1,213.
Traders' Sentiment
For the first time in precisely nine weeks the bullish SWFX market share soared above the 50% threshold. Now 51% of market participants believe the bullion is going to appreciate, up from only 48% yesterday.